South Korea’s overseas direct investment dropped 11 percent on-year in 2013 amid instability in the financial market and lingering uncertainty over the global economy, a government report showed Thursday.

According to the report compiled by the finance ministry, the country’s overseas direct investment totaled $35.12 billion last year, down from the $39.46 billion tallied a year earlier.

Overseas direct investment refers to Korean residents’ equity investment in foreign countries or money spent to open and operate overseas branches and offices.

The decline is mostly attributed to investors being reluctant to venture out amid growing uncertainty in the financial market caused by the U.S. push to wind down its stimulus program.

Investment in the manufacturing and mining sectors declined 3.1 percent and 31.9 percent on-year, while investment made in the financial and real estate business grew 25.9 percent and 40.9 percent, respectively, the report showed. (Yonhap)